GNBT,
Up 10.93% to 2.03 on no news.
Is this the reason,a potential takeover candidate?
GSK buys nasal strip maker for $566M
Monday October 9, 11:36 am ET
British pharmaceutical giant GlaxoSmithKline on Monday announced plans to acquire the Minnesota maker of Breathe Right nasal strips for approximately $566 million.
GSK, which has dual U.S. headquarters in Research Triangle Park and Philadelphia, said it has agreed to purchase Minneapolis-based CNS for $37.50 per share in cash, a 31 percent premium over CNS' closing price Oct. 6.
ADVERTISEMENT
The transaction is expected to close by early 2007. GSK officials said Monday that the company has yet to identify how many CNS employees will be retained or whether CNS will maintain operations in Minnesota. CNS currently employs about 60 workers.
CNS (NASDAQ: CNXS - News) in June reported annual sales of $118.5 million, up 18 percent from the same period a year earlier. The U.S. market generates 86 percent of the company's sales.
In addition to Breathe Right, CNS also produces FiberChoice fiber supplements, which are marketed exclusively in the United States.
Telephone calls seeking comment from GSK and CNS officials were not immediately returned.
GSK (NYSE: GSK - News) has more than 5,600 employees in the Triangle.
Published October 9, 2006 by the Triangle Business Journal |
